Analyst DonAlt highlights the significance of Ethereum breaking resistance at $1,940 for potential price surges.
If Ethereum surpasses this level, it could propel the cryptocurrency to $2,500, a height last observed in Q2 2022.

Ethereum (ETH) enthusiasts have reason to be optimistic as an analyst, known as DonAlt, unveils a potential scenario that could propel the cryptocurrency to levels not seen since Q2 2022.

DonAlt, with a following of 51,300 subscribers on YouTube, recently shared insights in a strategy session. He emphasized the importance of ETH bulls surpassing the resistance at $1,940 to ignite momentum for the leading smart contract platform.

According to the analyst, a breakthrough above $1,940 could potentially drive Ethereum’s price to reach $2,500. This level was last witnessed in early May 2022, before a marketwide collapse triggered by the implosion of the Terra (LUNA) ecosystem.

“$1,940 – that area served as resistance. Although we faced rejection, if we approach that level again, or even come close to it, there’s a significantly high chance that we could reach $2,500.

This potential trade setup simplifies decision-making, as one can consider market buying if the price surges, thereby enhancing tradability.

The downward movement shouldn’t be regarded negatively, as it presents better trading opportunities…

A strong bullish candle from this point could indicate a higher likelihood of an upward breakout.”

While DonAlt presents a bullish scenario for ETH, he acknowledges that Ethereum may struggle to witness significant rallies until it recovers the $1,940 mark or until Bitcoin (BTC) finds its bottom.

As of now, Ethereum is trading at $1,740, reflecting a growth of over 4% in the last 24 hours. The cryptocurrency’s potential rally to Q2 2022 levels is contingent upon overcoming the crucial resistance and the overall performance of Bitcoin.

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Filed under: Bitcoin - @ June 19, 2023 8:19 am